Confirmation of a bottom with a range violation on 01/31/13 @ 3.345. Confirmation of a bottom with a close violation on 02/05/13 @ 3.399. Upside Targets = 3.535 – 3.554.

VRCB generated on Wednesday making new highs on current move @ 3.459.

March Natural Gas traded within a very narrow band on Wednesday ahead of the EIA storage report and conflicting worries in the near term over a possible cold weather spell in the Midwest and a low storage pull.

The weekly close gap has still not quite been filled at $3.463 and expect increased volatility tomorrow around the report and significant momentum failures as the market nears $3.50.

Projected Daily Range: .102

Projected Weekly Range: .250

Projected Monthly Range: .492

About the Author

KMH is a trading and technical analysis firm that specializes in commodity futures and commodity based ETF’s. Kris Hicks has worked for numerous years in the commodity business and in 2011 accurately forecasted both $25 moves to the downside in May and July and the $25+ move to the upside in October in oil. He also called the all-time high day for gold on Sept. 6, 2011 and forecasted a projected downside target of 1528.10 in March 2012. He was also responsible for projecting the Q2 and Q4 low in the Euro FX to within 13 and 9 ticks, respectively. His trading methodology has a high degree of accuracy which confirms tops/bottoms, projected trading ranges and projected targets for those ranges. His expertise is focused on 16 commodities plus the comparable ETF markets. You can reach Kris at Kris@KMH-Capital.com or visit his website at www.KMH-Capital.com.